State-owned postal service, the South African Post Office (SA Post Office) has rolled out a new cashless automated teller machine (ATM) at an informal store, in Ga Molepo, just outside of Polokwane.
SA Post Office chairperson Colleen Makhubele says the cashless ATM helps decongest current payment points – of post office branches, ATMs and retail merchants – by increasing South African Social Security Agency (Sassa) grant access points.
Capricorn municipality mayor John Mpe notes that the new system will stimulate local economic activity as Sassa beneficiaries will be spending their grant money at merchants within their localities, and it will assist beneficiaries to stretch the rand value of each social grant disbursement as they will no longer have to travel to reach grant payment access points.
Additionally, this system can help to reduce queues amid the Covid-19 pandemic.
The cashless ATM issues a voucher, which the beneficiary can exchange for cash or goods at the trader.
The SA Post Office plans to install 10 000 of these cashless ATMs at traders around South Africa.